Governor Phil Scott PC: 47th Annual Meeting of the New England Governors & Eastern Canadian Premiers

Good afternoon everyone. Thank you for being here. Over the last two days, we brought together the New England states and the eastern Canadian provinces, businesses and industry leaders, strategic thinkers, utilities and universities, and other partners from across the region. And I think we've been reminded just how connected and how important this region is. We've talked about energy and infrastructure, advanced manufacturing and technology, supply chains, cyber security, workforce, and the challenges facing both of our countries. But the most important message from this meeting is pretty simple. Our relationship matters. Our economies are connected. Our energy systems and supply chains are connected. Our communities are connected. And at a time of uncertainty and strain in the relationship between our two countries, governors and premers have a very important role to play in keeping those connections strong. Over the last two days, we've demonstrated that we can work together regardless of politics or disagreements at the national level. We can identify opportunities that benefit our people. We can strengthen the systems and industries our countries depend on. And we can make sure the relationships that have connected this region for generations remain strong. As I said earlier, our relationships are our most critical infrastructure. We know each other, we trust each other, and we're going to keep working together to keep this region strong and resilient. I'm grateful for Premier Lance and all our heads of delegation for coming to Vermont and I'm proud of what we've accomplished here. There's more work ahead and we're committed to doing it. So with that, I'll turn it over to our co co-chair, Premier Rob Lance. [applause] Thank you, Governor Scott, and thank you, Vermont, for for hosting such a positive and productive uh few days here. Throughout our discussions, we've focused on the issues that matter most to the people that we represent. This conference has been bringing New England governors and Eastern Canadian premers together for almost more than 50 years, in fact, now. And I would uh argue those relationships are more important today than ever before. Across our region, businesses are navigating uncertainty, families are feeling the pressure of higher costs, and governments are focused on strengthening economic security while creating the conditions for businesses to grow and invest. That's why partnerships like this matter. The relationships we've built over decades allow us to work together, learn from one another, find practical solutions to shared challenges. Today, we've talked about everything from energy and economic development to regional resilience and creating new opportunities for businesses and workers across our region. Those conversations don't end when we leave Vermont. They continue throughout through the work we do together over the months ahead and I'm confident they'll help strengthen our region for the future. I'm looking forward to welcoming everyone to Prince Edward Island next summer as we host the 2027 New England Governors and Eastern Canadian Premier's Conference. It will be an opportunity to continue the important conversations, strengthen the partnerships that we've that have served our region so well, and showcase everything Prince Edward Island has to offer. I really appreciate um the hospitality we've shown here. Looking forward to returning the compliment. Thank you very much. [applause] We'll now open up to questions. uh you may have a question or two for some of our our friends here from the north [clears throat] and from the south. >> Um are there any specific new initiatives coming out of the conversations from this weekend that you're looking ahead to now? >> Yeah, I mean we've we've discussed a lot of different things. I think it was a good conversation, very honest and and open and it really goes back to reestablishing the relationships, making sure that everyone here knows we're still friends. Uh we have some issues we have to work through, a lot of them caused by um our federal government. Um but uh but we're we're going to work through this. We're going to get back to where we were. And uh and I think again if there's anything it's brought us closer together uh this weekend and all the things we've done and all the things we've discussed. Um but we do have some strategic goals that we have been working on for a couple of years. We're going to continue to work on those. Um but really it is to send the message back uh to both Washington and to Ottawa uh that this region matters. this this relationship matters and uh we want to protect it and we need to to make sure uh that uh we don't forget how important it is for the northeast of of of the US and the eastern part of Canada >> specifically in the area of energy cooperation what were the major topics of discussion and again were there any [clears throat] new agreements or initiatives >> yeah again we've been talking about I mean we all are recognizing the fact uh that we have more demand uh for electricity in particular. Um so we uh we talked a lot about that how we can accomplish that. I know uh some of the provinces uh are working on initiatives in their their own uh their own provinces. Uh so we're u we're all ears. We're going to continue again to work together on this and find out what the opportunities are for all of us, Vermont in particular, but other, you know, from my perspective, but there's other states uh that are with us on this. Uh we have ISO New England who was here today as well and other partners throughout the uh the region and I think it was just in Hydro Quebec and others. We it's a it was just a great conversation to have and I think that uh we don't have to compete against each other. There's enough demand so we need to figure out how do we accomplish what we we think we need and what we can do when we work together. Feel free. Anybody else want to please? [clears throat] >> I I would say from our perspective uh I'm Christopher Ski from from Quebec. Um, I would say from our perspective, um, I think the energy file is a testament to the success that that we've had in cooperation and collaborating. And I just want to reiterate, uh, that Quebec wants to be a partner and will continue to be a reliable partner for our American friends in matters of energy. And I think the way forward is building more resilience together and more interconnectivity. And so this forum today give us the opportunity to talk about more of that and how we can deepen uh that relationship and make it more fruitful as we go on to you know rise to the challenges that uh a new and changing world. Thank you. >> Governor Scott, you recently sent a letter to Secretary decrying the Canadian tariffs by the Trump administration. To first of all, have you gotten any sort of response from the Trump administration on that letter? Second of all, to what extent were tariffs a part of the conversation this weekend? >> Um, we touched on on tariffs, not not specifically, but we talked about, you know, all that's been said and done uh in terms of fracturing us and our relationship. Uh, so we had good conversations about that. I have not received anything back from from the government, from Secretary Lutz in particular, but looking forward to it. I wonder if the uh premers and attendants could weigh in on the Trump administration's proposed tariffs that are slated to take effect soon and uh what they're hoping to see from the ongoing negotiations between the two countries. Um, let me say first that [clears throat] Canadians generally would um would agree that we're we're very fortunate uh to be neighbors of the United States and um that we benefit from proximity but also our shared values uh culture history and um we have all benefited from that relationship uh for many generations. Uh I would also say that um it this is a two-way street that the United States economic prosperity of the United States and security of the United States is dependent on [clears throat] that free open relationship with Canada and [clears throat] almost a trillion dollars of bilateral trade happens every year.$ two and a half billion dollars a day and that is now constrained and uh it's under the threat of that constraint is under threat of becoming worse on August 19th if that deadline is if if deal is not reached by that deadline and so yes there is anxiety on our side of the border but our federal counterparts are in Washington regularly working hard uh on a comprehensive deal that would open that border we would all benefit we've heard very loud and clear here today that we would all benefit from more free, fair, tariff-free trade. Uh we talked a lot here over the last couple of days about strengthening supply chain integration and we're in fact doing the opposite with uh the the constraints at the border. So, um I've heard a willingness from everyone I've spoken to here in Vermont to get back uh to to tariffree trade because it benefits both of our countries immensely. And u I have hope um from what I've heard from my from my colleagues here and um we'll we'll see where we are on August 19th. But uh I think it's very important for both of our countries and we want to continue that strong economic relationship that we've benefited from for generations. >> I just add on that just I can sorry no worries. I guess I would sum it up as friendships good tariffs bad. uh basically I mean these are long-standing friendships and relationships and the the commercial trade between between our two countries is so important to both of us. So uh we're hopeful there's some resolution and there's lots of work happening on that and I do want to give a shout out. The governor has been such a good friend to to Eastern Canada for sure, but Canada as as a country. I really appreciate that. I'm a big fan of his, not just because he's a race car driver, but uh but also Governor uh Governor Healey, Governor Mills, they've been like this whole area has been so supportive of us as as we work through this challenge. But I do think we'll we will get through it. There has to be a resolution and then we have to live with that uh for the long term. So there's economic impacts, as Senator was saying this morning, economic impacts, but also emotional impacts. This is a this has been a difficult time for our relationship. Um but um we'll get through because we because we have to. Um but but what we what we're living through right now uh with the tariffs, with the threat of tariffs, with some of the some of the some of the insults and talking points that they're difficult like there there's no way around that. They're very difficult and uh but um but um the relationship will survive that as we saw over the last couple days and as we see from our ongoing relationship on day-to-day issues that really matter to the people we represent. So, >> you mentioned insults. Um, [clears throat] I wonder if either of the premers would care to address the president's um use of the term nasty in relation to the Canadian leadership. Um, would either of you have anything to say on that? >> I don't think we're nasty. Does anybody think we're nasty? I don't think we're nasty. [laughter] >> I sure haven't seen that this weekend. [laughter] from New Houston. While you were there, um I believe the province of Nova Scotia has initiated now a procurement for 5 gawatts of offshore wind energy and that Massachusetts has signed an initial memor memorandum of understanding. Will the other New England states also have an opportunity to procure some of the power from that new um generation? >> Look, I I hope so. Thank you for that. Uh obviously um Nova Scotia is is very focused on developing our energy potential. Uh we have incredible potential in in the offshore of Nova Scotia and offshore wind. Massive potential there. We're also um kind of returning to the oil and gas sector as well. U but the wind opportunity that we have the wind we call wind west is a project is massive u massive potential um just for for order of magnitude in the fullness of time over a number of phases. We we we believe we could develop almost 60 gigawatts of offshore wind. So just for just for perspective, Nova Scotia at peak uses two. I think Vermont is one at peak, right? So this is a massive a massive undertaking and and and fully developed that could actually power almost a quarter of Canada's energy needs. So it's a big big resource with lots of potential. Um but of course u when you when you develop 60 gigawatts and you only use two, you have to have markets. Um so so we're we're looking for for partners. Uh we'll have extensive discussions with Quebec, also Ontario, other parts of Canada as the energy, you know, our prime minister has said that energy demand in Canada will double over over the next, you know, not that long long of a period of time, right? Energy demands are increasing very significantly and every region is looking to figure out how they will meet that demand with new supply and uh Nova Scotia. We feel very optimistic and and positive that we can be that good stable partner who can meet some of the supply not in Nova Scotia only not only in Canada but also and c certainly New England would be a that's a good partnership and relationship that existed for a long time and we think expanding our energy supply to the area was is just a natural progression of that. So we're excited about the opportunity we have. We've had discussions with everyone about it. everybody's in the same in the same boat and of the same frame of mind on this on this and so we get it's it's a great opportunity for all of us >> given time constraints we have time for one more [clears throat] question and happy to connect you with any presses after >> um I know that a lot of the conversation politically in Canada over the last few days has been about you know concessions in terms of the tariff negotiations I'm wondering if any of the Canadian representatives could speak to if you feel like you have a red line of you know we we should conceive this, we should not conceive this. What is what's the line that your governments regionally see? >> Well, I think from from the Quebec perspective, um, and of course I I would invite you to reach out to our federal trade representatives who certainly will have an answer for you as well. Um, I would say right now what I'm perceiving is the United States has a desire to change the trade relationship. And so I would suggest that the ask should come from the United States so that we better understand where it is that the United States wants to go. Um, I think most Canadians would agree that we're eager to get to where we're going so that we can focus on what's really important for our populations. Our populations want housing. Right now, there's a 45% tariff on softwood lumber. This impedes our ability to offer the United States with cheaper housing. Uh we want lower priced cars. There's a 50% tariff on aluminum. That directly impacts uh car manufacturing in North Carolina. And so these are things that are actually causing an increase in price. And so we're eager to find out uh where we're going so that we can move on to important things that our citizens want. There's been some reporting recently that um the provincial bans on US alcohol sales uh might be part of this current uh round of negotiations and that uh those bans might be dropped, but of course that's a provincial decision. Um so I'm wondering if the premers could um address what is it that your provinces would need to see specifically in order to consider dropping those bans on US alcohol sales? >> Well, uh we we certainly understand that that's an irritant. Um and it's it's uh you know the premers all the premers and the prime minister gathered in in Charlotttown my hometown Prince Edward Island just a couple of weeks ago and we had discussions about um how the federal government is going to approach these negotiations and our um our wish and what we conveyed to the prime minister was that everything should be on the table. We should try this seems to be an opportunity to come to a comprehensive deal and try to put most of this behind us if not all of it and move forward. So those alcohol bans are certainly on the table. Um and uh but we would like to to know what we get in return. >> Yeah, I think I think um Premier Lance is right like something in return. But here's the bigger issue. Um I don't I don't know that Nova Scotians are are going to just snap it off the shelves as soon as it goes back. Like I mean I think there's been there's been certainly a longer term impact there. Um, but I mean in terms of when we would return it to the shelf to give the consumer that choice, it's when there's when there's when there's a reason. So something something in return and we haven't we haven't seen that yet. >> That's all we have time for. So we'll follow up with any questions. >> Let's take take one just one more. >> How are you guys handling tourism? I know that tourism has been an issue as a result of current Canada US relations. Are you both encouraging uh uh your residents to visit the US? You've talked about a big partnership uh with our new New New England states, but are you encouraging tourism to the US? >> Probably trying to attract the tourism back into their provinces. Um I will say uh it seemed to be, you know, we've gone through over a year of seeing the decline in our visitation from Canada and we started to see a little bit of a thaw here of late in the last month or so. And then uh unfortunately the president dropped the news about a new round of tariffs and that immediately shut the shut the stream of people from Canada coming to visit us uh down. So it's unfortunate uh again I don't blame them for being angry. I don't blame them u for the what little retribution they've done to took took away the ability for us to to sell our alcohol in their country. Uh but that's a little price to pay if it was reversed if if the prime minister was saying something about us the way our president has been talking about about them and referring to the 51st state and so forth and so on. uh we'd be mad too, we'd be angry. So uh I try and put myself in the shoes of others when I uh try and understand their frame of mind and uh that's what I do. Like I just put myself in their shoes and how would I feel and um I would be doing probably worse than they are. >> Thank you.